21 Dec 1912
Page 1
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Newspaper
Chicago Packer
Location
Chicago, Illinois, United States of America
Date
Dec 21, 1912
Page
1
A U S probe targets six firms accused of trying to monopolize the market and use harsh tactics to push Seattle business. Allegations highlight aggressive methods and dividends on capital stock since the group's formation.
A Seattle civil suit against the Produce Distributors Co. has spurred federal and state inquiries into possible Sherman act violations. Investigators probe whether six prominent houses centralized buying to fix prices and coerce growers, with Davidson Fruit Co. testifying to a $711.96 shortfall on a $3 per crate strawberry sale.
A grand jury will convene soon to investigate the Produce Distributors Co of Seattle and its impact on the citrus trade. Testimony from observers in Chicago and Los Angeles indicates pressure by Seattle operators to control orange and cantaloupe markets, with claims of aggressive tactics and disputed fruit ripeness.
Trade gossip centers on six big companies forming a cartels like Produce Distributors Co and Powels Co. executives, claiming vast profits from high brokerage and large dividends within nine months. District Attorney Bl. W. Coiner calls for full information as federal inquiry looms.
A multi page clippings roundup reports on U S probes and suits involving Produce Distribution Co Seattle and Elgin Illinois, fruit and vegetable movements in Chicago Cincinnati Kansas City and Minneapolis, new creamery at Willow Springs, storage plans in the northwest, shipments in Turlock and Dallas areas, creasing prices and calendar releases, and regional market notes from New Orleans Boston New York Pittsburgh and West Baden with various executives and firms named.
In a Chicago court hearing, representatives from orange handlers testified over a week about six cars of California oranges seized near Proviso Illinois. Officials argued the fruit was artificially colored and mislabeled under pure food laws, while shippers contended sweating produced color without adulteration. The trial featured chemists and housewives testifying on ripeness, with government noting potential consumer health risks if immature fruit reached markets. The case focuses on whether sweating masks inferiority and if the fruit should be destroyed or retained as edible.
Washington moved to dissolve the Elgin Board of Trade and the American Association of Creamery Butter Manufacturers, claiming market manipulation and price fixing. The suit seeks dissolution, injunctions, and removal of price fixing practices, with a long list of defendants and officials named.
Cabbage prices rose about 50 cents per ton this week in Chicago with Holland seed stock at $5 per ton f o b Wisconsin points. Local stock sold $4.50 to $5 per ton f o b while trade improved though mild weather dampened local demand. Farmers still loading storage cabbage if the market continues rising.
Cincinnati reports lighter dressed turkey movement from Kentucky, middle Tennessee, and the Ohio valley to eastern markets via the Ohio river gateway. By Wednesday 30 cars left in two trains, with total season volume forecast 20 to 25 percent below prior holiday levels. Prices averaged 14 to 15 cents, with buying pushes pushing as high as 18 cents in some sections. Kentucky packers and shippers passing through to eastern markets included L. T. Smith, J. T. Cannon, W. T. Brent, Andrew Hawkins, and others.
Cincinnati dispatch reports a heavy week for Ohio Valley markets with Florida and Louisiana vegetables dominating receipts. Demand remained strong around Christmas, with head lettuce variable in quality and prices from $1 to $1.25 per hamper, tomatoes at $2.75 to $3 per six basket, and hot house stock $2.75 to $3 per six basket crate.
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